BM Internal Commentary

Ben & Jerry’s: To what extent Ben & Jerry’s Corporate-Social

Responsibility have contributed to its increase in market share ?

Introduction

Corporate Social Responsibility also known as CSR is a business model used by companies

so that they can be aware of the impact they had on society, this includes environmental,

social, and economic impact. By performing CSR a company can have positive impacts on

society and the environment. There are many companies which are socially responsible and

perform CSR, the most famous of these companies is Ben & Jerry’s. Ben & Jerry’s is a

company based in Vermont, USA that produces and manufactures ice cream and frozen

yogurt. It was founded in 1978 by Ben Cohen and Jerry Greenfield, before being bought by

Unilever in 2000. It has grown in renown for the variety of ice cream flavors along with its

sustainability and CSR. This Paper will go in depth about Ben & Jerry’s CSR policies and

actions performed to enhance society and the environment and how the initiatives helped

grow its market share.

Methodology
An extremely large portion of research required to find the CSR of Ben and Jerry’s is through

the internet, where information and data is available on websites, articles(newspaper),

videos, Ben & Jerry’s social media accounts(twitter, facebook, instagram, and youtube) and

news. Ben & Jerry focuses heavily on interacting and communicating with its customer and

user base, they also heavily display the actions they have performed specifically CSR on

social media platforms, so this makes it easier to research and collect data. The tools I will

be using to collect my information are Ben & Jerry’s social media accounts, creditable and

legible articles and newspapers, and the company’s official website.

Research Topic Importance Source

Ben & Jerry’s market share It will allow me to understand Secondary Research: The

and growth and analyze how large and research will be collected

famous Ben & Jerry’s is, and from websites such as

if it's growing because of its Statista and Mordor

CSR activities. Intelligence which have data

about the market share.

Ben & Jerry’s CSR activities It's the main thing the Secondary Research: The

and initiatives and its research question is about. It resources will be collected

business ethics. will allow me to understand from the official Ben &

what CSR activities Ben & Jerry’s website, news

Jerry’s is doing, and if it's articles, journals, interviews

helpful to both the company and videos on youtube.

and society, along with how

ethical of business it is, and

how it treats its employees.

The public’s opinion of Ben It will help me figure out if Secondary and Primary
 & Jerry’s. the public’s opinion of the Research: The research will

company is improved be collected from reviews of

because of Ben & Jerry’s Ben & Jerry’s products

CSR activities, and if the online and questioning

improved public opinion people who have eaten Ben

helps the company & Jerry’s products or had

experience with the

company.

Main findings and Results

Ben & Jerry’s has a mission statement which focuses on 3 things, product, economy and

social statements. Their social statement states “Our Social Mission compels us to use our

Company in innovative ways to make the world a better place. To operate the Company in a

way that actively recognizes the central role that business plays in society by initiating

innovative ways to improve the quality of life locally, nationally and internationally”. Ben &

Jerry’s has a huge focus on creating high quality products along with spending lots of effort,

time and resources on communities outside of their own. Ben & Jerry’s has advocated and

supported many campaigns to end problems and issues. In 1988 they founded the “1% for

Peace '' which has a goal to redirect and move 1% of the US’s national defense budget (3.1

billion dollars) towards peace-promoting activities. In 1989 it started the campaign “Artificial

Growth Hormone? Not in Our Ice Cream!” where it opposed rBGH, a growth hormone used

on cows to increase their milk production in short periods of time, but also has a slight

chance of being harmful. In 1992 Ben and Jerry’s joined a campaign called “Take a Stand

for Children '' created by the non profit organization Children’s Defense Fund where they

advocated to make the basic needs of children an important part of the nation’s agenda. In

2005 started the “Drilling is not the ANsWeR” campaign to protest the proposed oil drilling in

the Arctic National Wildlife Refuge, where they constructed a 900 pound “Baked Alaska '',

and served the ice cream to people on the US Capital Lawn.

Analysis and Discussion

Ethical Practices at Ben & Jerry’s

Business Ethics are the standards set by businesses and corporations to decide what is

morally right or wrong. Business ethics are implemented to promote integrity among the

employees, and improve overall employee morale, productivity, and the quality of the

products.. Ben & Jerry’s make sure they follow ethical practices in their companies and treat

their employees well. The employees at Ben & Jerry’s have a higher than normal living wage

at $18 per hour, and the employees are given 3 free pints of ice cream every day and a

30% discount for all Ben & Jerry’s employees. The employees are allowed to bring their

canine pets to their jobs that are taken care of by certified dog caretakers, free on-site gym

with yoga classes, and created a “People-first” culture, and organizes team barbeques and

halloween parties. The company’s devotion to employee satisfaction is the major cause of its

low turnover rate of 12%, this low turnover rate allows longer employed workers to

understand the production process better while also suggesting improvements which

improved the overall performance of all employees. Ben & Jerry’s also ensured to support

their employees and franchisees during covid by creating an efficient communications

network where different franchisee owners were able to share ideas and techniques to adapt

to the pandemic.Ben & Jerry’s also have an emphasis on the quality and sustainability of the

products and packaging, their tubs have 40% less plastic than other ice cream products, and

are recyclable, their packaging is also plant based and is made using a material called BIO

PE, so their packaging is not made from harmful fossil fuels, but from sugar canes.

CSR at Ben & Jerry’s

Ben & Jerry has gone through great lengths in taking initiatives to improve society and the

environment. Ben & Jerry has the second largest market share for ice cream companies in

the United States after Private Label, and earned 936 million dollars in 2021. It has an

extremely large and loyal follower base, and this is because of forging an emotional

connection with their customers by performing CSR activities and staying truthful with their
customers. They ensure they source from Fairtrade and non-GMO products, and ensure

they have proper labeling and that all of their customers are aware about what they are

eating. They name their ice cream flavors after real life problems such as “Hubby Hubby”

and “Apple-y Ever After” ice cream flavors which they created to celebrate and support gay

marraige around the world and the “Save our Swirled” ice cream flavor to raise awareness

about climate change. They are able to compete with other ice cream companies by staying

transparent and creating lasting relationships with their customers by performing CSR

activities. The Covid-19 pandemic has taken a large toll on US, and to support the many

frontline workers such as healthcare workers, food service providers, and manufacturing

workers, Ben & Jerry’s provided free ice creams to all essential frontline workers and also

peaceful protestors during the George Floyd civil rights issue.

Market Share of Ben & Jerry’s

Ben & Jerry has the second largest market share for ice cream companies in the United

States after Private Label, and earned 936 million dollars in 2021. A large amount of this

money is because of its endeavors during the Covid-19 pandemic such as encouraging

drive-through pick-ups and takeout services. and focusing on employee safety and

maintaining the quality of the product stays consistent and good. While other ice cream

companies had to shut down franchisee shops and fire employees, Ben & Jerry’s continued

supporting their employees and franchisees.

 Swot Analysis of Ben & Jerry’s

Strengths Weaknesses

Ice Cream Quality: Ben & Jerry's focuses on the quality of Presence of Unilever: After Ben & Jerry has been taken

ice cream made with healthy natural ingredients. This over by Unilever the company which had an identity of its

makes the ice cream taste fresh and natural. Without any own faces the risk of losing its individuality since it might

preservatives or GMO’s. get absorbed into the company’s corporate culture.

Social awareness: The company addresses many social Low penetration: Ben & Jerrys do not have an existence

causes, including: B. Preserve a "swirling" campaign aimed beyond the USA and UK.The brand which is a very

at global warming, although the purpose is to do this. popular one in these regions can become bigger and

There is also the Ben & Jerry's Foundation, which donates better if they choose to expand to other territories.

7.5% of its profits to charities around the world.

Balance: Ben & Jerrys has always been a socially

Workplace Culture: Ben & Jerry's work culture is one of conscious company and the company directs 7.5 % of

the fun places to work. The company ensures that there is their profits towards charity. In the long run, the feasibility

plenty of relaxation in the workplace, investing in talent and of such a strategy is doubtful especially since the western

ensuring that you receive the best training and industry world is suffering from long-standing impacts of the

standard payment packages. economic recession.

Cultural Awareness: Ben & Jerry's ice cream products

have bridged cultural barriers and delivered a meaningful

socio-cultural message. Some campaigns, such as

empowerment campaigns and video campaigns to save the

world, reflect this effort.

Opportunities Threats

Huge market potential: The ice cream market has a huge Competition: Ben & Jerrys faces a lot of competition

market potential and it is forecasted to touch $97,301 from Haagen Dazs and Pillsbury.

million by 2023, with a cumulative annual growth rate of 3

%. Most of the steep growth will be centered around

Lack of expansion: The company has only expanded its
emerging economies like India and China where Ben &
market to the U.K and certain European countries, while
Jerrys are yet to establish a strong presence.
countries in continents like Asia and Africa are

untouched.

Focus on sugar free: Consumers today are increasingly

conscious about the ill effects of sugar and thus prefer to

Health conscious people: Many people become health
have sugar free or low sugar versions of sweets and
conscious and refraining from ice creams or switching
desserts. This will be a new segment for ice cream
over to low fat ice creams.
companies to focus on.

Protecting its public image: In light of the recent

acquisition by Unilever by maintaining its current position

as a market-leader in environmentally and socially

responsible business practices.

 Conclusion

Ben & Jerry’s has proven to be a company which has a huge emphasis on CSR through its

various initiatives and efforts in improving society and the environment as a whole. The

company has proven to be very efficient which it has proven by having the second largest

market share in the United States and earning 936 million dollars in 2021. It’s ethical

practices and having a “Employee-first” culture has improved its overall company morale and

increased its productivity in making ice creams. The various CSR activities it has performed

allowed it to gain enough popularity and a loyal customer base who buy all of their products.

All of their initiatives helped them become the 4th biggest ice cream brand in the world.

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